Factors that affect the price of goods and services.

[PICKFORD]

Value assurance is resolved similarly by request and supply; it is really a market part balance. This article will initially clarify key monetary value determinants like interest and supply drivers, just as the connection among request and supply.

Second, the article will show the disequilibrium brought about by the new expansion in cotton costs, just as clarify how cost separation, item separation, and promoting can empower an organization to keep up with its net revenue by giving expense increments to clients.
While deciding the cost of an item, the firm ought to think about the expense of creation. This cost fuses both variable and fixed expenses.

Accordingly, when setting costs, the firm should have the option to recuperate both variable and fixed expenses. Also while deciding the cost of the item, the firm should think about the degree of rivalry on the lookout. On the off chance that there is a ton of contest, the costs might be kept low to contend adequately, and in the event that there isn't a great deal of rivalry, the costs might be kept high.

1. Cost:
When deciding an item's value, the firm ought to think about the expense of creation. This cost consolidates both variable and fixed expenses. Subsequently, when setting costs, the firm should have the option to recuperate both variable and fixed expenses.

2. The company's foreordained destinations:
When deciding item costs, the advertiser should remember the company's goals. For instance, assuming a's company will probably expand profit from venture, it might charge a greater cost; on the off chance that the objective is to catch an enormous portion of the overall industry, it might charge a lower cost.

4. Item life cycle:
The phase of the item's life cycle additionally impacts its cost. For instance, during the early on stage, the firm might charge a lower cost to draw in clients, and during the development stage, the cost might be raised.

5. Credit period advertised:
The credit period presented by the organization affects the estimating of the item. The more extended the credit time frame, the higher the cost, and the more limited the credit time frame, the lower the cost of the item.

 

[Good luck]

The cost of goods and services is the major factor that affect production in any organization.If the cost is too high there will be low turnout of such good in the market causing low demand from the consumer which may also affect the retailer.Apart from the price,one also need to consider the products to be produced to see if it is of high quality and relevant to customers.there must be a very good packaging in every organization that differentiate their goods from other competitors in the market.Both two things mentioned above are very important measures to be looked into in the market.

 

[Kingsley]

There are indeed somany factors that affects the prices of goods and services in a country, I will use my country as a case study. Although we know the cost at which the raw materials are been bought from the extractive industries, will determine what the constructive and manufacturing industries will sell after they must have added some value to the raw material and turn them into finished goods. But i have come to realise that in the value chain they seems to be alot of manipulations and infations as a result of selfishness and greed for profit from the side of the manufacturing industry. The truth is the items been used for production are bought at a very cheap among from the extractive industries like farmers, fishermen and women and even the miner, they buy the raw materials at a very cheap rate from them and add little or now value and decide to hype the prices at a ridiculous rate.

And the middlemen wholesaler and retailers should also be blamed because they are also greedy for profit and they inflate prices. Lastly the government should also be held responsible for placing high tax rate on business organizations .

 

[Sotherefore]

The cost of the amount of money used during the production of the products will really be the main determinant of the amount in which the product will be sold at, naturally we supposed to understand that when the cost of production is cheaper the price of the products will also be cheaper and also the other way around.

Location also play a very important and the population of people also play a very important because when there is high population of people there is likely to be a high demand for a particular product or services and as a result of this there is likely to be an increase in the price of such products if we are to consider the law of demand and supply.

Apart from this another thing that could possibly lead to increase in the price of a particular product is the economy of a country, if the economy of a particular country is perfect then most product are likely to go down in price just to be in the level of the economy but if the economy of a particular country is going down price of all products are likely to grow high as well as

 

[Good-Guy]

I think that there are various different sort of reasons for why prices of goods or commodities increase. It would be unfair to say that there is only one reason for that. Of course the manufacturing cost of goods is one of the main reasons behind that. I think that the cost of extracting raw materials is also a major reason behind why the prices of goods increase. For example, if the cost of gaining oil from Earth increases, this will obviously increase the price of petrol in the market due to the cost of gaining the crude oil from the ground. Apart from that, refining cost also matters. The same goes for manufacturing process of any material or product.

Secondly, a high inflation can also affect the total prices of goods as a whole. Whenever the currency of a particular country becomes less powerful, its economy suffers on an international level. This could have a really huge impact on the markets in a country. As a result, prices will increase. Thirdly, one of the big reasons why prices of goods could increase is the monopoly of some countries. Almost each and every country imports products. When the prices are increased by the country that exports items, the prices increases.

 

[TOZZIBLINKZ]

There are various factors that affect the price of goods and services some of which you have mentioned , but the one I want to elaborate the more is the cost of production . In some regions of the world manufacturer Spends huge amount of money in the production of various commodities especially Consumer goods. If you are wondering what consumer goods are well it refers to those goods and commodities that are essential and most wanted by human beings for survival . And so after this consumer goods are being produced and then sold to the wholesaler who in turn sell it to the retailer who makes the goods available in bits to the final consumer prices of these goods tend to increase and so buyers and consumers will have to spend more to acquire these communities .

In some regions of Africa to be precise West Africa we are currently facing the condition of inflation which simply means , high circulation of money chasing fewer goods caused as a result of increase in manufacturing and producing cost of these goods . I believe in order to avoid this from happening the art of industrialisation should be encouraged by the government . Because most manufacturers and producers have to import raw materials from foreign countries , so with industrialisation production of goods and services can be easily done within a particular country thereby reducing the cost in which goods and services are being produced for a good effective market price .

 

[Tommy1983]

I think supply and demand is the biggest reason for this! If people dont want it the price goes down, if the supply goes up, the price goes down! So reduce the supply and price goes up!

 

[pawelkolasa]

I think supply and demand is the biggest reason for this! If people dont want it the price goes down, if the supply goes up, the price goes down! So reduce the supply and price goes up!

Demand and supply is the main factor that influences the price of goods and services.
But there are other small factors too that influence the price. Like:
1. Competition among the same kind of goods and services also influences the prices.
2. Quality of the product also defines its price. If the product is made of rarely found elements or expensive ingredients are used the price will be high.
3. Income of the customer affects the price and the demand of the product.
4. Supply shortage can result in increasing the price for the goods and services.

 

[Jasz]

There are several factors that affect the price of goods and services, including:

-Supply and demand: The basic law of supply and demand states that when there is a higher demand for a product or service, prices rise. Conversely, when there is a higher supply (excess supply) of a product or service, prices fall.

-Market conditions: This includes the state of the economy, whether it is growing or in recession. For example, if the economy is strong, people are more willing to spend money on goods and services. This can lead to an increase in the price of products and services as business owners raise prices to take advantage of this increased spending power.

-Competition: If there are many competitors offering similar products or services, they often have to lower their prices in order to stay competitive. Over time, this can lead to lower prices on goods and services as one competitor lowers their price to gain market share and others follow suit.

-Costs: Businesses need to cover their costs before making a profit. The cost of raw materials, labor, transportation, etc. can lead businesses to raise the price of their products or services over time in order to make up for these costs.